Apple has been remarkably successful in the first quarter of 2012. So successful that JP Morgan has significantly increased its projections for the fiscal quarter after a “major upside potential” to the company’s sales numbers.

The price target for Apple is being updated from $625 to $715 and the unit shipment estimate has increased as well. Originally, iPhone shipments were expected to reach 28.1 million in Q1 2012, but JP Morgan now believes that iPhone shipment will reach 31.1 million units.

“We are not trying to inflate expectations ahead of the [March quarter] print,” said JP Morgan analyst Mark Moskowitz. “Our intent is to communicate the incremental delta in our new and old estimates as identified by our recent research.”

Moskowitz believes that a rumored new iPhone model will be announced in the second half of 2012, which will include a “thinner body and LTE capability.” He also believes that the year’s total iPhone shipment will exceed 138 million units.

JP Morgan also increased their estimate of iPads shipped in the first quarter of 2012. Previously, the estimate was 10.1 million units and now it is up to 13.8 million units shipped for the March quarter. The iPad is now expected to reach 69.9 million units shipped for 2012 over the previous estimate of 59.8 million.

Moskowitz points out a few more predictions for the coming year. He believes that Apple is planning on refreshing its MacBook portfolio within the next three month, saying that the company needs to “improve its portables’ specifications and features while introducing lower price points in order to stay ahead of the price reductions from the ‘Ultrabook crowd.’”

Moskowitz believes that Apple needs to set the innovation wheels in motion in order to sustain its competitive edge, or customers will become bored with just getting new versions of the same products.

One other way for Apple to make waves is by collaborating with Microsoft to bring the Office Suite to the iPad. Enterprise PCs represent 40 percent of global PC units, while enterprise tablets only amount to about 10 percent, making the iPad seem like a toy in comparison to the workhorse of the PC. Moskowitz believes that Microsoft Office will help Apple break into the enterprise market.